HB 2309 — An Act amending the act of April 12, 1951 (P.L.90, No.21), known as the Liquor Code, in preliminary provisions, further providing for definitions; in Pennsylvania Liquor Control Board, further providing for general powers of board, for restrictions on members of the board and certain employees of Commonwealth, for enforcement and for biennial reports; in licenses and regulations, liquor, alcohol and malt and brewed beverages, further providing for malt and brewed beverages manufacturers', distributors' and importing distributors' licenses, for number and kinds of licenses allowed same licensee, for responsible alcohol management, for surrender of restaurant, eating place retail dispenser, hotel, club, catering club, importing distributor and distributor license for benefit of licensee, for unlawful acts relative to malt or brewed beverages and licensees and for liability of licensees; providing for hemp-derived cannabinoid beverages; establishing the Local Hemp Sharing Fund; and imposing penalties.

PRINTER'S NO.   3037

                  THE GENERAL ASSEMBLY OF PENNSYLVANIA



                      HOUSE BILL
                      No. 2309
                                             Session of
                                               2026

     INTRODUCED BY MALAGARI, SANCHEZ, MADDEN, GIRAL, HILL-EVANS,
        BRENNAN, KINKEAD AND BOROWSKI, MARCH 20, 2026

     REFERRED TO COMMITTEE ON HEALTH, MARCH 20, 2026


                                  AN ACT
 1   Amending the act of April 12, 1951 (P.L.90, No.21), entitled "An
 2      act relating to alcoholic liquors, alcohol and malt and
 3      brewed beverages; amending, revising, consolidating and
 4      changing the laws relating thereto; regulating and
 5      restricting the manufacture, purchase, sale, possession,
 6      consumption, importation, transportation, furnishing, holding
 7      in bond, holding in storage, traffic in and use of alcoholic
 8      liquors, alcohol and malt and brewed beverages and the
 9      persons engaged or employed therein; defining the powers and
10      duties of the Pennsylvania Liquor Control Board; providing
11      for the establishment and operation of State liquor stores,
12      for the payment of certain license fees to the respective
13      municipalities and townships, for the abatement of certain
14      nuisances and, in certain cases, for search and seizure
15      without warrant; prescribing penalties and forfeitures;
16      providing for local option, and repealing existing laws," in
17      preliminary provisions, further providing for definitions; in
18      Pennsylvania Liquor Control Board, further providing for
19      general powers of board, for restrictions on members of the
20      board and certain employees of Commonwealth, for enforcement
21      and for biennial reports; in licenses and regulations,
22      liquor, alcohol and malt and brewed beverages, further
23      providing for malt and brewed beverages manufacturers',
24      distributors' and importing distributors' licenses, for
25      number and kinds of licenses allowed same licensee, for
26      responsible alcohol management, for surrender of restaurant,
27      eating place retail dispenser, hotel, club, catering club,
28      importing distributor and distributor license for benefit of
29      licensee, for unlawful acts relative to malt or brewed
30      beverages and licensees and for liability of licensees;
31      providing for hemp-derived cannabinoid beverages;
32      establishing the Local Hemp Sharing Fund; and imposing
33      penalties.
 1      The General Assembly of the Commonwealth of Pennsylvania
 2   hereby enacts as follows:
 3      Section 1.   The definitions of "alcohol service personnel,"
 4   "case," "catered function," "container" and "manufacture" in
 5   section 102 of the act of April 12, 1951 (P.L.90, No.21), known
 6   as the Liquor Code, are amended and the section is amended by
 7   adding definitions to read:
 8      Section 102.   Definitions.--The following words or phrases,
 9   unless the context clearly indicates otherwise, shall have the
10   meanings ascribed to them in this section:
11      * * *
12      "Alcohol service personnel" shall mean any employe of a
13   licensee such as a bartender, waiter or, in the case of a
14   distributor or importing distributor, a salesperson whose
15   primary responsibility includes the resale, furnishing or
16   serving of liquor or malt or brewed beverages. It shall also
17   mean any employe, such as a doorperson, whose primary
18   responsibility is to ascertain the age of individuals who are
19   attempting to enter the licensed premises. An employe of an
20   alcohol licensee, distributor or importing distributor may be
21   simultaneously considered to be cannabinoid service personnel.
22      * * *
23      "Cannabinoid service personnel" shall mean an employe of a
24   hemp-derived cannabinoid licensee such as a bartender, waiter
25   or, in the case of a hemp-derived cannabinoid beverage
26   distributor or hemp-derived cannabinoid beverage importing
27   distributor, a salesperson whose primary responsibility includes
28   the resale, furnishing or serving of hemp-derived cannabinoid
29   beverages. The term shall also mean an employe, such as a
30   doorperson, whose primary responsibility is to ascertain the age

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 1   of individuals who are attempting to enter the licensed
 2   premises. An employe of a hemp-derived cannabinoid licensee,
 3   hemp-derived cannabinoid beverage distributor or hemp-derived
 4   cannabinoid beverage importing distributor may be simultaneously
 5   considered to be alcohol service personnel.
 6      "Case" shall mean a package prepared by the manufacturer for
 7   sale or distribution of twelve or more original containers
 8   totaling two hundred sixty-four or more fluid ounces of malt or
 9   brewed beverages excepting those packages containing twenty-four
10   or more original containers each holding seven fluid ounces or
11   more. In the context of hemp-derived cannabinoid beverages, the
12   term shall mean a package prepared by the manufacturer for sale
13   or distribution of four or more final containers, totaling at
14   least forty-eight fluid ounces of hemp-derived cannabinoid
15   beverage.
16      "Catered function" shall mean the furnishing of food prepared
17   on the premises or brought onto the premises already prepared in
18   conjunction with alcoholic beverages and hemp-derived
19   cannabinoid beverages for the accommodation of a person or an
20   identifiable group of people, not the general public, who made
21   arrangements for the function at least thirty days in advance.
22      * * *
23      "Container" shall mean and include any receptacle, vessel or
24   form of package, tank, vat, cask, barrel, drum, keg, can, bottle
25   or conduit used or capable of use for holding, storing,
26   transferring or shipment of alcohol, liquor [or], malt or brewed
27   beverages or hemp-derived cannabinoid beverages.
28      * * *
29      "Final container" shall mean a bottle, can, keg or other
30   suitable container that has been securely capped, sealed or

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 1   corked by the manufacturer of a hemp-derived cannabinoid
 2   beverage at the place of manufacture, with the name and address
 3   of the manufacturer permanently affixed to the bottle, can, keg
 4   or other suitable container or, in the case of a bottle or can,
 5   to the cap or cork used in sealing the bottle or can or to a
 6   label securely affixed to a bottle or can.
 7      * * *
 8      "Hemp" shall mean the plant Cannabis sativa L. and any part
 9   of the plant, whether growing or not, with a delta-9
10   tetrahydrocannabinol concentration of not more than 0.3% on a
11   dry-weight basis.
12      "Hemp-derived cannabinoid beverage" shall mean a beverage
13   containing THC derived solely and exclusively from hemp.
14      * * *
15      "Manufacture", when the term is applied to malt or brewed
16   beverages, shall mean and include all means, methods and
17   processes used, employed and made use of, to produce, make and
18   manufacture for commercial purposes, malt or brewed beverages
19   from raw materials; when applied otherwise, it shall mean and
20   include all means, methods and processes used, employed and made
21   use of, to produce and make alcohol or liquor from raw
22   materials, and shall mean and include rectification and blending
23   of alcohol and liquor, the production, recovery or reuse of
24   alcohol in the making, developing, using in the process of
25   manufacture, denaturing, redistilling or recovering of any
26   alcohol or liquor in distilleries, denaturing plants and
27   wineries. When the term is applied to hemp-derived cannabinoid
28   beverages, the term shall mean and include all means, methods
29   and processes used, employed and made use of to derive THC from
30   hemp and blend or otherwise add the THC to other ingredients to

20260HB2309PN3037                 - 4 -
 1   make an ingestible mixture or preparation.
 2      * * *
 3      "THC" shall mean tetrahydrocannabinols.
 4      * * *
 5      Section 2.   Sections 207(b)(1), 210(a) introductory
 6   paragraph, 211(a)(1), (2), (3), (4) and (7), 217(a) and (b),
 7   431(a.2), 438(b) and (c) and 471.1(a), (b), (d), (e), (f) and
 8   (h) of the act are amended to read:
 9      Section 207.   General Powers of Board.--Under this act, the
10   board shall have the power and its duty shall be:
11      * * *
12      (b)   The following shall apply:
13      (1)   To control the manufacture, possession, sale,
14   consumption, importation, use, storage, transportation and
15   delivery of liquor, alcohol [and], malt or brewed beverages and
16   hemp-derived cannabinoid beverages in accordance with the
17   provisions of this act, and to fix the wholesale and retail
18   prices at which liquors and alcohol shall be sold at
19   Pennsylvania Liquor Stores.
20      * * *
21      Section 210.   Restrictions on Members of the Board and
22   Certain Employes of Commonwealth.--(a)   A member or employe of
23   the board or enforcement bureau or a member of the immediate
24   family of a member or employe of the board or enforcement bureau
25   shall not be directly or indirectly interested or engaged in any
26   other business or undertaking within the Commonwealth dealing in
27   liquor, alcohol, [or] malt or brewed beverages or hemp-derived
28   cannabinoid beverages, whether as owner, part owner, partner,
29   member of syndicate, holder of stock exceeding five percent (5%)
30   of the equity at fair market value of the business, independent

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 1   contractor or manager of a licensed establishment required under
 2   40 Pa. Code § 5.23 (relating to appointment of managers), and
 3   whether for his own benefit or in a fiduciary capacity for some
 4   other person. For the purpose of this subsection only, "employe
 5   of the board or Enforcement Bureau" shall mean any individual
 6   employed by the board or Enforcement Bureau who is responsible
 7   for taking or recommending official action of a nonministerial
 8   nature with regard to:
 9      * * *
10      Section 211.   Enforcement.--(a)   There is created within the
11   Pennsylvania State Police a Bureau of Liquor Control Enforcement
12   which shall be responsible for enforcing this act and any
13   regulations promulgated pursuant thereto. Officers and
14   investigators assigned to the bureau shall have the power and
15   their duty shall be:
16      (1)   To investigate whenever there are reasonable grounds to
17   believe liquor, alcohol [or], malt or brewed beverages or hemp-
18   derived cannabinoid beverages are being sold on premises not
19   licensed under the provisions of this act. If the investigation
20   produces evidence of the unlawful sale of liquor [or], malt or
21   brewed beverages or hemp-derived cannabinoid beverages or any
22   other violation of the provisions of this act, the officer
23   involved in the investigation shall institute criminal
24   proceedings against the person or persons believed to have been
25   criminally liable, as otherwise provided by law or rule of
26   court.
27      (2)   To arrest on view, except in private homes, without
28   warrant, any person actually engaged in the unlawful sale,
29   importation, manufacture or transportation or having unlawful
30   possession of liquor, alcohol [or], malt or brewed beverages or

20260HB2309PN3037                  - 6 -
 1   hemp-derived cannabinoid beverages contrary to the provisions of
 2   this act or any other law of this Commonwealth or any person
 3   whom the officer/investigator, while in the performance of his
 4   assigned duties under and pursuant to this act and any
 5   regulations promulgated under this act, observes to be in
 6   violation of any of the following provisions:
 7            18 Pa.C.S. § 3302 (relating to causing or risking
 8      catastrophe).
 9            18 Pa.C.S. § 3304 (relating to criminal mischief).
10            18 Pa.C.S. § 4101 (relating to forgery).
11            18 Pa.C.S. § 5503 (relating to disorderly conduct).
12            18 Pa.C.S. § 5505 (relating to public drunkenness).
13            18 Pa.C.S. § 5512 (relating to lotteries, etc.).
14            18 Pa.C.S. § 5513 (relating to gambling devices,
15      gambling, etc.).
16            18 Pa.C.S. § 5514 (relating to pool selling and
17      bookmaking).
18            18 Pa.C.S. § 6307 (relating to misrepresentation of age
19      to secure liquor or malt or brewed beverages).
20            18 Pa.C.S. § 6308 (relating to purchase, consumption,
21      possession or transportation of liquor or malt or brewed
22      beverages).
23            18 Pa.C.S. § 6309 (relating to representing that minor is
24      of age).
25            18 Pa.C.S. § 6310.1 (relating to selling or furnishing
26      liquor or malt or brewed beverages to minors).
27            18 Pa.C.S. § 6310.3 (relating to carrying a false
28      identification card).
29      (3)   Upon reasonable and probable cause, to search for and to
30   seize, without warrant or process, except in private homes, any

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 1   liquor, alcohol [or], malt or brewed beverages or hemp-derived
 2   cannabinoid beverages unlawfully possessed, manufactured, sold,
 3   imported or transported and any stills, equipment, materials,
 4   utensils, vehicles, boats, vessels, animals, aircraft, or any of
 5   them, which are or have been used in the unlawful manufacture,
 6   sale, importation or transportation of the same. Such liquor,
 7   alcohol, malt or brewed beverages, hemp-derived cannabinoid
 8   beverages, stills, equipment, materials, utensils, vehicles,
 9   boats, vessels, animals or aircraft so seized shall be disposed
10   of as hereinafter provided.
11      (4)   To investigate and issue citations for any violations of
12   this act or any laws of this Commonwealth relating to liquor,
13   alcohol [or], malt or brewed beverages or hemp-derived
14   cannabinoid beverages, or any regulations of the board adopted
15   pursuant to such laws or any violation of any laws of this
16   Commonwealth or of the Federal Government, relating to the
17   payment of taxes on liquor, alcohol [or], malt or brewed
18   beverages or hemp-derived cannabinoid beverages by any licensee,
19   his officers, servants, agents or employes.
20      * * *
21      (7)   To arrange for the administration of chemical tests of
22   breath, blood or urine, including preliminary breath tests, to
23   persons for the purpose of determining the alcoholic content of
24   blood or the presence of a controlled substance by qualified
25   personnel of a State or local police department or qualified
26   personnel of a clinical laboratory licensed and approved by the
27   Department of Health. The following apply:
28      (i)   The presence of THC in an individual tested by the
29   bureau shall be considered to be a result of the lawful use of
30   hemp-derived cannabinoid beverages as outlined in this act

20260HB2309PN3037                  - 8 -
 1   unless the totality of the circumstances indicates otherwise.
 2      (ii)    Nothing in this section shall be construed to prevent
 3   officers of the bureau or investigators of the bureau from
 4   investigating, detaining, taking into custody or conducting
 5   other actions that are considered standard when interacting with
 6   an individual intoxicated by alcohol when officers and
 7   investigators interact with an individual intoxicated by hemp-
 8   derived THC.
 9      * * *
10      Section 217.   Biennial Reports.--(a)   The board's Bureau of
11   Alcohol Education shall prepare a report on [underage alcohol
12   drinking and high-risk college alcohol drinking] the underage
13   consumption of alcohol and hemp-derived cannabinoid beverages
14   in this Commonwealth.
15      (b)    A report shall be prepared biennially and shall address
16   the following:
17      (1)    Current levels and trends of underage [alcohol drinking]
18   and high-risk college [alcohol drinking] consumption of alcohol
19   and hemp-derived cannabinoid beverages in this Commonwealth.
20      (2)    Current programs conducted by State agencies to prevent
21   underage alcohol drinking and high-risk college [alcohol
22   drinking] consumption of alcohol and hemp-derived cannabinoid
23   beverages.
24      (3)    Current science that better defines and suggests proven
25   prevention strategies for underage [alcohol drinking] and high-
26   risk college [alcohol drinking] consumption of alcohol and hemp-
27   derived cannabinoid beverages.
28      * * *
29      Section 431.   Malt and Brewed Beverages Manufacturers',
30   Distributors' and Importing Distributors' Licenses.--* * *

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 1      (a.2)   The board shall issue to a holder of a manufacturer's
 2   license no more than [two] five storage licenses per
 3   manufacturer to cover storage facilities separate from the
 4   location of the manufacturing facility. A manufacturer may use
 5   its storage facilities to receive, store, repackage, sell and
 6   distribute malt or brewed beverages in the same manner as it can
 7   at its place of manufacture or it may rent, lease or otherwise
 8   acquire space from an importing distributor or bailee for hire
 9   authorized by this act in the same manner as an out of State
10   manufacturer as set forth in subsection (a.1). A separate
11   written application must be filed to acquire storage licenses,
12   and the board is empowered to establish what information must be
13   provided on that application. Nothing in this act authorizing
14   off-site storage facilities for manufacturers is intended to
15   make any change in the manner malt or brewed beverages are
16   distributed through the three-tier system.
17      * * *
18      Section 438.    Number and Kinds of Licenses Allowed Same
19   Licensee.--* * *
20      (b)   No person shall possess or be issued more than one
21   distributor's or importing distributor's license[.], except that
22   a person may possess both a hemp-derived cannabinoid beverage
23   distributor's license and a distributor's license, or a person
24   may possess both a hemp-derived cannabinoid beverage importing
25   distributor's license and an importing distributor's license.
26      (c)   No person shall possess more than one class of license,
27   except that [a]:
28      (1)   A holder of a retail dispenser's license may also be a
29   holder of a retail liquor license: Provided, however, That
30   nothing contained in this section shall be construed to prohibit

20260HB2309PN3037                   - 10 -
 1   a member of the governing board of a public authority created
 2   under subdivision (n) of Article XXIII of the act of August 9,
 3   1955 (P.L.323, No.130), known as "The County Code," from having
 4   an interest in a distributor or importing distributor license
 5   notwithstanding the fact that the public authority has an
 6   interest in one or more retail licenses or acts as a landlord
 7   for one or more retail licenses: And, provided further, That,
 8   notwithstanding any other provision of this section, an entity
 9   may acquire both a manufacturer's license or a limited winery
10   license and a hotel, restaurant or retail dispenser license for
11   use at the same location and more than one location may be so
12   licensed. The licenses and a person's interest in the licenses
13   or in the entity holding the licenses shall not be subject to
14   this section.
15      (2)   A holder of a license that grants the ability to
16   manufacture, sell, transport, distribute or import alcohol may
17   also hold a hemp-derived cannabinoid beverage license of the
18   same or equivalent class. The board shall promulgate regulations
19   clarifying equivalent classes between alcohol licenses and hemp-
20   derived cannabinoid beverages licenses.
21      Section 471.1.   Responsible Alcohol Management.--(a)    The
22   board is authorized to offer a responsible alcohol service
23   program to licensees. The program shall consist of four parts:
24   new employe orientation, training for [alcohol]
25   alcohol/cannabinoid service personnel, manager/owner training
26   and the displaying of responsible alcohol and hemp-derived
27   cannabinoid beverage service signage. New employe orientation
28   shall consist of orienting newly hired [alcohol]
29   alcohol/cannabinoid service personnel as to Pennsylvania law
30   relating to the sale, furnishing or serving of alcoholic

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 1   beverages and hemp-derived cannabinoid beverages to minors and
 2   visibly intoxicated persons. It shall also mean orienting newly
 3   hired [alcohol] alcohol/cannabinoid service personnel to
 4   responsible server practices, as the term is defined by the
 5   board, through regulation. Training for [alcohol]
 6   alcohol/cannabinoid service personnel shall be as set forth by
 7   the board, but at minimum it shall consist of training to
 8   prevent service of alcohol and hemp-derived cannabinoid
 9   beverages to minors and to visibly intoxicated persons.
10   Manager/owner training shall be as set forth by the board, but
11   at a minimum it shall consist of training on how to monitor
12   employes, proper service of alcohol and hemp-derived cannabinoid
13   beverages and how to develop an appropriate alcohol and hemp-
14   derived cannabinoid beverage service policy. The responsible
15   alcohol and hemp-derived cannabinoid beverage service signage
16   shall be as set forth by the board and shall consist of signage
17   dealing with the licensee's policy against sales to minors and
18   visibly intoxicated persons. [Alcohol] Alcohol/cannabinoid
19   service personnel training may be conducted by the board or by
20   an entity certified by the board to conduct such training.
21      (b)   The board shall be authorized to certify and decertify
22   entities that wish to offer training for [alcohol]
23   alcohol/cannabinoid service personnel. The training entity and
24   the board shall maintain records establishing the names of
25   individuals who have successfully undergone [alcohol]
26   alcohol/cannabinoid service personnel training.
27      * * *
28      (d)   In order to be considered in compliance with this
29   section for purposes of section 471, a restaurant, retail
30   dispenser, eating place, hotel, club, catering club, distributor

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 1   and importing distributor or hemp-derived cannabinoid beverage
 2   retail licensee shall:
 3      (1)   have at least fifty per centum of its [alcohol]
 4   alcohol/cannabinoid service personnel certified as having
 5   successfully completed an [alcohol] alcohol/cannabinoid beverage
 6   servers training;
 7      (2)   have its manager or owner certified as having
 8   successfully completed manager/owner training;
 9      (3)   have all [alcohol] alcohol/cannabinoid service personnel
10   undergo new employe orientation; and
11      (4)   have appropriate responsible [alcohol]
12   alcohol/cannabinoid service signage posted on the licensed
13   premises.
14   For purposes of this section, an owner is an individual who owns
15   at least twenty-five per centum of the licensed entity.
16      (e)   Licensees ordered to comply with this act pursuant to
17   section 471 who change managers shall have sixty calendar days
18   to have the new manager trained as required by this section. If
19   a licensee ordered to comply with this act pursuant to section
20   471 hires additional [alcohol] alcohol/cannabinoid service
21   personnel, those additional employes shall be deemed to have
22   been certified from their date of hire if they successfully
23   complete an [alcohol] alcohol/cannabinoid serving program within
24   sixty days of their date of hire.
25      (f)   Upon completion of a certified [alcohol]
26   alcohol/cannabinoid service personnel program or the board's
27   owner/manager training program, the participant will be
28   certified by the training entity or the board as having
29   successfully completed the program. Said certification will be
30   valid for two years. The licensee shall keep records of the

20260HB2309PN3037                  - 13 -
 1   certification status of its employes, managers and owners,
 2   including the name of the employe, manager or owner and the date
 3   of that individual's certification, in the same manner as it
 4   keeps other business records pursuant to [section] sections
 5   493(12) and 419-A. The licensee shall also keep records of its
 6   new employe orientation program and records of its responsible
 7   [alcohol] alcohol/cannabinoid service signage as set forth by
 8   the board by regulation.
 9      * * *
10      (h)   Unless successfully completed prior to being hired, all
11   [alcohol] alcohol/cannabinoid service personnel shall be
12   required to complete the training for [alcohol]
13   alcohol/cannabinoid service personnel under subsection (b)
14   within six months of being hired by a licensed establishment.
15      Section 3.   Section 474.1 heading, (a) and (g)(2) of the act,
16   amended July 15, 2024 (P.L.700, No.57), are amended and the
17   section is amended by adding a subsection to read:
18      Section 474.1.   Surrender of Restaurant, Eating Place Retail
19   Dispenser, Hotel, Club, Catering Club, Importing Distributor
20   [and], Distributor, Hemp-Derived Cannabinoid Importing
21   Distributor, Hemp-Derived Cannabinoid Distributor and Hemp-
22   Derived Cannabinoid Retail License for Benefit of Licensee.--(a)
23   A restaurant, eating place retail dispenser, hotel, club,
24   catering club, importing distributor [and], distributor, hemp-
25   derived cannabinoid importing distributor, hemp-derived
26   cannabinoid distributor and hemp-derived cannabinoid retail
27   licensee whose licensed establishment is not in operation for
28   fifteen consecutive days shall return its license for
29   safekeeping with the board no later than at the expiration of
30   the fifteen-day period. The license may only be reissued from

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 1   safekeeping in the manner set forth by the board through
 2   regulation. The regulation shall not differ from regulation
 3   outlining the reissuance of alcohol licenses from safekeeping.
 4      (a.1)     The surrender and reissuance of the license holder's
 5   alcohol and hemp-derived cannabinoid beverage licenses may be
 6   conducted together, and if a license holder surrenders both the
 7   alcohol and hemp-derived cannabinoid beverage licenses, both
 8   licenses shall be maintained, stored and otherwise safeguarded
 9   together.
10      * * *
11      (g)     * * *
12      (2)     [(Reserved).] If a licensee has a hemp-derived
13   cannabinoid beverage license and an alcohol license in
14   safekeeping with the board and they request, under paragraph
15   (1), that the licenses remain in safekeeping for an additional
16   year, the board shall only charge a fee for one license.
17      Section 4.      Sections 492(11) and 497 of the act are amended
18   to read:
19      Section 492.     Unlawful Acts Relative to Malt or Brewed
20   Beverages and Licensees.--
21      It shall be unlawful--
22      * * *
23      (11)     Delivery of Malt or Brewed Beverages With Other
24   Commodities. For any manufacturer, importing distributor or
25   distributor, or his servants, agents or employes, except with
26   board approval, to deliver or transport any malt or brewed
27   beverages in any vehicle in which any other commodity is being
28   transported. The term "commodity" does not include hemp-derived
29   cannabinoid beverages.
30      * * *

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 1      Section 497.    Liability of Licensees.--No licensee shall be
 2   liable to third persons on account of damages inflicted upon
 3   them off of the licensed premises by customers of the licensee
 4   unless the customer who inflicts the damages was sold, furnished
 5   or given liquor [or], malt or brewed beverages or hemp-derived
 6   cannabinoid beverages by the said licensee or his agent, servant
 7   or employe when the said customer was visibly intoxicated.
 8      Section 5.    The act is amended by adding an article to read:
 9                                ARTICLE IV-A
10                     HEMP-DERIVED CANNABINOID BEVERAGES
11   Section 401-A.    Definitions.
12      The following words and phrases when used in this article
13   shall have the meanings given to them in this section unless the
14   context clearly indicates otherwise:
15      "Business associate."     A person that is a customer or
16   supplier of goods or services to or for the benefit of a
17   legitimate hemp-derived cannabinoid beverage business or
18   licensed THC extractor or an officer or director, owner,
19   operator, shareholder, member, employee, agent or financial
20   backer of a legitimate hemp-derived cannabinoid beverage
21   business or THC extractor.
22      "Department."    The Department of Revenue of the Commonwealth.
23      "Depository institution."      As follows:
24          (1)   a depository institution as defined in section 3(c)
25      of the Federal Deposit Insurance Act (64 Stat. 873, 12 U.S.C.
26      § 1811 et seq.);
27          (2)   a Federal credit union as defined in section 101 of
28      the Federal Credit Union Act (48 Stat. 1216, 12 U.S.C. § 1751
29      et seq.); or
30          (3)   a State credit union as defined in section 101 of

20260HB2309PN3037                     - 16 -
 1      the Federal Credit Union Act.
 2      "Distributor."         A person licensed by the board to engage in
 3   the purchase of hemp-derived cannabinoid beverages only from
 4   Pennsylvania manufacturers of hemp-derived cannabinoid beverages
 5   and from importing distributors of hemp-derived cannabinoid
 6   beverages and the resale of hemp-derived cannabinoid beverages,
 7   except to importing distributors and distributors.
 8      "Federal financial regulatory agency."        The Federal Reserve
 9   System, the United States Treasury, the Comptroller of the
10   Currency, the National Credit Union Administration, the Federal
11   Deposit Insurance Corporation, the Securities and Exchange
12   Commission and the Consumer Financial Protection Bureau.
13      "Financial institution."        A depository institution, trust
14   company, licensee, a person subject to the jurisdiction of a
15   Federal financial regulatory agency or a person subject to the
16   jurisdiction of the Department of Banking and Securities under
17   the act of December 5, 1972 (P.L.1280, No.284), known as the
18   Pennsylvania Securities Act of 1972.
19      "Financial services."
20          (1)   A financial product or service:
21                (i)    as defined by section 1002 of the Dodd-Frank
22          Wall Street Reform and Consumer Protection Act (Public
23          Law 111-203, 12 U.S.C. § 5301 et seq.), regardless of
24          whether the customer receiving the product or service is
25          a consumer or a commercial entity; or
26                (ii)    permitted to be provided under the authority
27          of:
28                       (A)    a national bank or a financial subsidiary
29                under 12 U.S.C. §§ 24 (42 Stat. 767), 24a (113 Stat.
30                1373) and 92a (76 Stat. 668);

20260HB2309PN3037                        - 17 -
 1                  (B)   a Federal credit union under the Federal
 2             Credit Union Act;
 3                  (C)   an incorporated institution under the act of
 4             November 30, 1965 (P.L.847, No.356), known as the
 5             Banking Code of 1965;
 6                  (D)   a credit union under 17 Pa.C.S. (relating to
 7             credit unions);
 8                  (E)   a person registered, or exempt from
 9             registration, to offer or sell a security or to act
10             as a broker, dealer, transfer agency, clearing agency
11             or investment company under the Investment Company
12             Act of 1940 (54 Stat. 789, 15 U.S.C. § 80a-1 et
13             seq.);
14                  (F)   a person registered, or exempt from
15             registration, to:
16                        (I)    offer or sell a security, under the
17                  Securities Act of 1933 (48 Stat. 74, 15 U.S.C. §
18                  77a et seq.);
19                        (II)    act as an exchange, a broker, dealer,
20                  transfer agent or clearing agent under the
21                  Securities Exchange Act of 1934 (48 Stat. 881, 15
22                  U.S.C. § 78a et seq.);
23                        (III)    act as an investment adviser under the
24                  Investment Advisers Act of 1940 (54 Stat. 847, 15
25                  U.S.C. § 80b-1 et seq.); or
26                        (IV)    act as an investment company under the
27                  Investment Company Act of 1940; or
28                  (G)   a person acting as a broker-dealer, agent,
29             investment adviser or investment adviser
30             representative in this Commonwealth under the

20260HB2309PN3037                    - 18 -
 1                Pennsylvania Securities Act of 1972.
 2          (2)   The term includes a service, whether performed
 3      directly or indirectly, authorizing, processing, clearing,
 4      settling, billing, transferring for deposit, transmitting,
 5      delivering, instructing to be delivered, reconciling,
 6      collecting or otherwise effectuating or facilitating the
 7      payments of funds, where funds payments or funds are made or
 8      transferred by any means, including by the use of credit
 9      cards, debit cards or other access devices, accounts,
10      original or substitute checks or electronic funds transfers.
11      "Hemp-derived cannabinoid beverage licensee."     A person who
12   holds a license under this article.
13      "Importing distributor."     A person licensed by the board to
14   engage in:
15          (1)   The purchase of hemp-derived cannabinoid beverages
16      from:
17                (i)    manufacturers of hemp-derived cannabinoid
18          beverages;
19                (ii)    other persons located outside this
20          Commonwealth;
21                (iii)    persons licensed under this act as
22          manufacturers of hemp-derived cannabinoid beverages; and
23                (iv)    importing distributors of hemp-derived
24          cannabinoid beverages.
25          (2)   The resale of hemp-derived cannabinoid beverages.
26      "Insurance service."     A service provided by an insurer in
27   this Commonwealth.
28      "Insurer."      An entity or person authorized by the Insurance
29   Department to transact the business of insurance in this
30   Commonwealth or designated as an eligible surplus lines insurer

20260HB2309PN3037                     - 19 -
 1   as defined in section 1602 of the act of May 17, 1921 (P.L.682,
 2   No.284), known as The Insurance Company Law of 1921. The term
 3   includes a person licensed by the Insurance Department to sell,
 4   solicit or negotiate insurance, and that person's officers,
 5   directors, agents and employees.
 6      "Manufacturer."     A person, association or corporation engaged
 7   in the production or manufacturing of hemp-derived cannabinoid
 8   beverages in this Commonwealth or elsewhere.
 9      "Principal display panel."      As defined in 3 Pa.C.S. § 5722
10   (relating to definitions).
11      "Trust company."     The term includes:
12            (1)   a national bank authorized to exercise trust powers
13      as authorized by 12 U.S.C. § 92a;
14            (2)   a trust company as defined by section 102 of the
15      Banking Code of 1965; or
16            (3)   an interstate bank as defined in section 102 of the
17      Banking Code of 1965 authorized to exercise the powers of a
18      trust company in this Commonwealth.
19   Section 402-A.     Authority to issue hemp-derived cannabinoid
20                  beverage licenses and THC extraction licenses.
21      The board shall issue licenses regarding:
22            (1)   the sale, manufacture, importation, distribution,
23      furnishing and transportation of hemp-derived cannabinoid
24      beverages; and
25            (2)   the extraction of THC from hemp and the manufacture,
26      sale and transportation of emulsions, mixtures, concentrates
27      or other products made from THC as provided for in this
28      article.
29   Section 403-A.     THC extraction license.
30      (a)   Issuance.--The board shall issue to a resident of this

20260HB2309PN3037                     - 20 -
 1   Commonwealth of good repute who applies for, and pays the
 2   license fee prescribed, a THC extraction license to extract
 3   naturally occurring THC from hemp for use in hemp-derived
 4   cannabinoid beverages.
 5         (b)   Production of beverages prohibited.--The granting of a
 6   THC extraction license to an applicant does not entitle the
 7   applicant to produce hemp-derived cannabinoid beverages for sale
 8   to:
 9               (1)   the general public; or
10               (2)   distributors for resale.
11         (c)   Sale to manufacturer.--The licensee may produce
12   emulsions, mixes, concentrations or other products containing
13   THC extracted from hemp for sale to and use by a licensed
14   manufacturer of hemp-derived cannabinoid beverages.
15         (d)   Sales to nonlicensed persons prohibited.--The licensee
16   shall not sell extractions, concentrations, mixes or other
17   ingredients containing THC to a nonlicensed person in or outside
18   of this Commonwealth, except that the licensee may sell
19   products to persons outside of this Commonwealth who are
20   licensed in their state, territory or country of origin.
21         (e)   THC extraction prohibited without license.--It shall be
22   unlawful for a person who does not apply for, receive and hold a
23   THC extraction license to extract THC from hemp and produce
24   emulsions, mixtures, concentrations or other ingredients
25   containing THC. A person who does not apply for, receive and
26   hold a THC extraction license is not entitled to the exemptions
27   and protections offered by section 431-A.
28         (f)   Requirements for licensure.--Requirements for and
29   information furnished in the application for a THC extraction
30   license shall mirror the requirements established in section

20260HB2309PN3037                       - 21 -
 1   410-A. An applicant who willfully furnishes false information in
 2   the application and review process for a THC extraction license
 3   shall be guilty of a misdemeanor and subject to the penalties
 4   outlined in this article.
 5      (g)    Regulations.--The board shall promulgate regulations as
 6   necessary to enforce this section.
 7   Section 404-A.      Records to be maintained by holders of THC
 8                   extraction license.
 9      (a)    Maintenance of records.--A THC extraction licensee shall
10   maintain, in addition to any other records required to be
11   maintained by this article, a complete and truthful record of
12   the licensee's operation that covers the preceding five-year
13   period.
14      (b)    Records to be maintained.--The information and records
15   to be maintained are as follows:
16             (1)   Dates of acquisition of raw hemp or other hemp
17      products, the amount received and from whom the material was
18      received.
19             (2)   Amount of THC extracted daily and what the THC was
20      used for.
21             (3)   Amount/volume of emulsions, concentrations or other
22      hemp-derived cannabinoid beverage ingredients produced from
23      the material received under paragraph (1).
24             (4)   Sales of products produced from the material
25      received under paragraph (1), including to whom the products
26      were sold and how much was sold.
27             (5)   Method of delivery of the products sold and delivery
28      manifests.
29             (6)   Test results of batches of emulsions, concentrations
30      or other hemp-derived cannabinoid beverage ingredients that

20260HB2309PN3037                      - 22 -
 1      attest to the THC content of the ingredients or seek to
 2      measure the number of contaminants in the ingredients, if the
 3      tests are performed.
 4      (c)   Access to records.--The board, enforcement bureau and
 5   their authorized representatives shall have full access to the
 6   records outlined in this section. Records must be made available
 7   to the board, enforcement bureau or their authorized
 8   representatives within 72 hours of the request for access being
 9   made.
10      (d)   Regulations.--The board may promulgate regulations
11   concerning how information in subsection (b) is to be recorded
12   and may develop documents on which information is to be
13   recorded.
14   Section 405-A.       Hemp-derived cannabinoid beverage retail license
15                  and eligible establishments.
16      (a)   Board authority.--The board may issue a hemp-derived
17   cannabinoid beverage retail license to an eligible applicant and
18   establishment. The license shall permit the holder to purchase
19   hemp-derived cannabinoid beverages and keep the beverages on the
20   premises and to sell the hemp-derived cannabinoid beverages to
21   guests, patrons or members for consumption on the licensed
22   establishment's premises and up to 192 fluid ounces for
23   consumption off-premises.
24      (b)   Eligible establishments.--Eligible establishments for
25   hemp-derived cannabinoid beverage retail licenses shall include:
26            (1)   Restaurants, hotels and clubs.
27            (2)   Public venues, as defined by the board, with the
28      following restrictions on sales of hemp-derived cannabinoid
29      beverages:
30                  (i)   Sales may only be made one hour before, during

20260HB2309PN3037                      - 23 -
 1        and one hour after an athletic performance, performing
 2        arts event, trade show, convention, banquet or any other
 3        performance at the facility.
 4              (ii)    Sales may not be made from 2 a.m. to 7 a.m.
 5        Sales may not occur prior to 11 a.m. on Sunday.
 6        (3)   Performing arts facilities, as defined by the board,
 7    with the following restrictions on sales of hemp-derived
 8    cannabinoid beverages:
 9              (i)    Sales may be made two hours before, during and
10        one hour after a performance at the facility.
11              (ii)    Sales may not be made from 2 a.m. to 7 a.m.
12        Sales may not occur prior to 10 a.m. or after 10 p.m. on
13        Sunday.
14        (4)   Continuing care retirement communities, as defined
15    by the board, with the following restrictions and privileges:
16              (i)    Sales of hemp-derived cannabinoid beverages may
17        not occur from 2 a.m. to 7 a.m. Sales may not occur prior
18        to 1 p.m. or after 10 p.m. on Sunday.
19              (ii)    Hemp-derived cannabinoid beverages sold or
20        furnished by the licensee may be possessed anywhere
21        within the continuing care retirement community
22        regardless of whether that portion of the premises is
23        licensed. Hemp-derived cannabinoid beverages sold or
24        furnished by the licensee may not be taken beyond the
25        confines of the continuing care retirement community.
26              (iii)    Sales of hemp-derived cannabinoid beverages
27        may occur in those portions of the premises licensed by
28        the board as well as in rooms that are lived in or used
29        by residents of the continuing care retirement community.
30        Sales of hemp-derived cannabinoid beverages shall be

20260HB2309PN3037                   - 24 -
 1            limited to residents of the continuing care retirement
 2            community and the guests of residents in conjunction with
 3            the normal, regularly scheduled dining, entertainment or
 4            social activities of the continuing care retirement
 5            community.
 6      (c)   Catering licenses and temporary catering permits.--The
 7   board may issue hemp-derived cannabinoid beverage catering
 8   licenses and temporary hemp-derived cannabinoid beverage
 9   catering permits, subject to the following:
10            (1)   The holder of a hemp-derived cannabinoid beverage
11      catering license or temporary hemp-derived cannabinoid
12      beverage catering permit may engage in the sale of hemp-
13      derived cannabinoid beverages at places besides the physical
14      premises for which the license holder maintains a hemp-
15      derived cannabinoid beverage retail license. Sales made under
16      a hemp-derived cannabinoid beverage catering license or
17      temporary hemp-derived cannabinoid beverage catering permit
18      shall be for immediate consumption on the catered premises
19      only. A hemp-derived cannabinoid beverage catering license
20      shall only be issued to a holder of a hemp-derived
21      cannabinoid beverage retail permit. There shall be no
22      licensing prerequisite for obtaining a hemp-derived
23      cannabinoid beverage catering permit.
24            (2)   Notice of the catered events must be submitted to
25      the board within seven days of the event taking place. The
26      board may promulgate regulations that require additional
27      information, as deemed necessary by the board, to be
28      furnished regarding the catered event. The board may deny a
29      hemp-derived cannabinoid beverage catering license holder or
30      temporary hemp-derived cannabinoid beverage catering permit

20260HB2309PN3037                    - 25 -
 1      holder the ability to engage in the sale of hemp-derived
 2      cannabinoid beverages at a catered event if the board deems
 3      that the sales will result in unlawful consumption, activity
 4      or sales.
 5            (3)   A temporary hemp-derived cannabinoid catering permit
 6      may not have a date of expiration later than 30 days from the
 7      date of issue.
 8            (4)   The same restrictions that exist for operations of
 9      and sales by hemp-derived cannabinoid beverage retail license
10      holders shall apply, as much as applicable as determined by
11      the board, to a hemp-derived cannabinoid beverage catering
12      license holder or temporary hemp-derived cannabinoid beverage
13      catering permit holder.
14   Section 405.1-A.     Sunday sales.
15      (a)     Authorization.--A hemp-derived cannabinoid beverage
16   licensee whose license allows the sale of hemp-derived
17   cannabinoid beverages for consumption off-premises or on-
18   premises may apply to the board for and receive a license
19   allowing sales of hemp-derived cannabinoid beverages from 9 a.m.
20   on Sunday until 2 a.m. on Monday. The license allowing Sunday
21   sales under this subsection shall be in addition to any license
22   or permit issued under this act allowing the sale of alcohol on
23   Sundays.
24      (b)     Fees.--
25            (1)   Each application under this section shall be
26      accompanied by a $100 filing fee.
27            (2)   An annual renewal application of a license under
28      this section shall be accompanied by a $100 renewal fee.
29      (c)     Action by board.--Upon receiving a proper application
30   and fee under this section, the board shall issue or renew a

20260HB2309PN3037                    - 26 -
 1   license unless the applicant is, or has in the preceding year,
 2   been out of compliance with the provisions of this article.
 3      (d)   Appeal.--Section 424-A shall govern the appeal of an
 4   adverse action taken by the board under this section.
 5   Section 406-A.        Application for hemp-derived cannabinoid
 6                  beverage retail license.
 7      (a)   Application.--
 8            (1)   An applicant for a hemp-derived cannabinoid beverage
 9      retail license or the transfer of an existing license to
10      another premises not licensed or to another person shall file
11      a written application with the board in the form and
12      containing information that the board shall prescribe, which
13      shall be accompanied by a filing fee and an annual license
14      fee as prescribed in section 414-A.
15            (2)   The application must:
16                  (i)    Contain a description of the part of the
17            establishment for which the applicant desires a license.
18                  (ii)    Specify other material information,
19            descriptions or plans of that part of the establishment
20            where it is proposed to keep and sell hemp-derived
21            cannabinoid beverages as may be required by the
22            regulations of the board.
23            (3)   The descriptions, information and plans in paragraph
24      (2) must:
25                  (i)    Show the establishment, or the proposed location
26            for the construction of an establishment, at the time the
27            application is made.
28                  (ii)    Show alterations proposed to be made to the
29            establishment or the new building proposed to be
30            constructed after the approval by the board of the

20260HB2309PN3037                       - 27 -
 1            application for a license or transfer of an existing
 2            license to another premises not licensed or to another
 3            person.
 4      (b)   Physical alterations, improvements or changes to
 5   establishments.--
 6            (1)   The board may not require physical alterations,
 7      improvements or changes to be made to an establishment or the
 8      construction of a new building for any purpose until approval
 9      of the application for license or transfer of an existing
10      license to another premises not licensed or to another
11      person.
12            (2)   (i)     After approval of the application, the licensee
13            shall make the physical alterations, improvements and
14            changes to the licensed premises or shall construct the
15            new building in the manner specified by the board at the
16            time of approval.
17                  (ii)    The licensee may not transact any business
18            under the license until the board:
19                         (A)   has approved the completed physical
20                  alterations, improvements and changes to the licensed
21                  premises or the completed construction of the new
22                  building as conforming to the specifications required
23                  by the board at the time of issuance or transfer of
24                  the license; and
25                         (B)   is satisfied that the establishment is
26                  eligible for a hemp-derived cannabinoid beverage
27                  license under section 405-A.
28            (3)   The board may require that all alterations or
29      construction or conformity to definition be completed within
30      six months from the time of issuance or transfer of the

20260HB2309PN3037                        - 28 -
 1    license. The time between the approval of the initial
 2    application and issuance of operating authority to the
 3    licensee shall be considered as time in safekeeping.
 4          (4)   Failure to comply with the requirements of this
 5    section shall be considered cause for revocation of the
 6    license.
 7          (5)   A license shall not be transferable between the time
 8    of issuance or transfer of the license and the approval of
 9    the completed alterations or construction by the board and
10    full compliance by the licensee with the requirements of this
11    article, unless the transfer application is accompanied by a
12    surcharge, which shall be:
13                (i)    $15,000 for a license located in a county of the
14          first class, county of the second class or county of the
15          third class.
16                (ii)    $5,000 for a license located in a county not
17          enumerated in subparagraph (i).
18    (c)   Conditions for applicants.--
19          (1)   If the applicant is an individual, the applicant
20    must show that the individual is a citizen of the United
21    States and a resident of this Commonwealth.
22          (2)   If the applicant is an association, the applicant
23    must state the names and addresses of the persons
24    constituting the association.
25          (3)   If the applicant is a corporation, the applicant
26    must:
27                (i)    State the names and addresses of the principal
28          officers of the corporation.
29                (ii)    Show that:
30                       (A)   the corporation was created under the laws

20260HB2309PN3037                      - 29 -
 1              of this Commonwealth or holds a certificate of
 2              authority to transact business in this Commonwealth;
 3                     (B)   all officers, directors and stockholders of
 4              the corporation are citizens of the United States;
 5              and
 6                     (C)   the manager of the hotel, restaurant or club
 7              is a citizen of the United States.
 8        (4)   A club applicant shall file as a part of the
 9    application a list of the names and addresses of the members,
10    directors, officers, agents and employees of the club,
11    together with the dates of their admission, election or
12    employment and other information with respect to the club
13    applicant's affairs as the board shall require.
14        (5)   An application must be signed and verified by oath
15    or affirmation by any of the following persons, accompanied
16    by written evidence of the person's authority to do so:
17              (i)    If the applicant is an individual, by the owner.
18              (ii)    If the applicant is an association, by a member
19        or partner of the association.
20              (iii)    If the applicant is a corporation, by an
21        executive officer of the corporation or a person
22        specifically authorized by the corporation to sign the
23        application.
24        (6)   The board shall refuse to issue a license to a club
25    when it appears that the operation of the licensed business
26    would inure to the benefit of individual members, officers,
27    agents or employees of the club, rather than to the benefit
28    of the entire membership of the club.
29        (7)   If a false statement is intentionally made in any
30    part of the application, the affiant shall be deemed guilty

20260HB2309PN3037                    - 30 -
 1      of a misdemeanor and subject to the penalties outlined in
 2      this article.
 3      (d)   Notice of application.--
 4            (1)   An applicant for a new license or the transfer of an
 5      existing license shall post a notice of the application:
 6                  (i)    for a period of at least 30 days beginning with
 7            the day the application is filed with the board; and
 8                  (ii)    in a conspicuous place on the outside of the
 9            premises or at the proposed new location for which the
10            license is applied.
11            (2)   The notice under paragraph (1) must be in the form
12      and size and contain provisions that the board may require by
13      regulation.
14            (3)   Proof of the posting of the notice under paragraph
15      (1) shall be filed with the board.
16            (4)   The posting requirement imposed by this subsection
17      shall not apply to license applications submitted for public
18      venues.
19      (e)   Notification to municipality.--Upon receipt of an
20   application for a new license or transfer of an existing license
21   to a new location, the board shall immediately notify in writing
22   the municipality in which the premises proposed to be licensed
23   are located.
24   Section 407-A.        License hearings and license period.
25      (a)   Hearings.--
26            (1)   The board shall hold a hearing on an application for
27      a new license or transfer of an existing license to a new
28      location as the board deems necessary, at the time fixed for
29      the purpose of hearing testimony.
30            (2)   The board shall hold a hearing on an application for

20260HB2309PN3037                       - 31 -
 1      a new hemp-derived cannabinoid beverage retail license or the
 2      transfer of a license to a new location, upon the request of
 3      a person with standing to testify under subsection (b) if the
 4      request is filed with the board no later than 15 days after
 5      posting of the notice of application under section 406-A(d).
 6            (3)   The board may provide for the holding of hearings by
 7      hearing examiners learned in the law, to be appointed by the
 8      Governor, who shall not be subject to 71 Pa.C.S. Pt. III
 9      (relating to civil service reform). The hearing examiners
10      shall make a report to the board in each case with
11      recommendations.
12            (4)   The board may fix the license period for each
13      separate license so that the expiration dates are staggered.
14      (b)   Right to testify.--A resident residing within a radius
15   of 500 feet of the premises applying for a new hemp-derived
16   cannabinoid beverage license or the transfer of a license to a
17   new location shall have standing to testify at a hearing held
18   under subsection (a). The board and hearing examiner shall give
19   appropriate evidentiary weight to testimony of the residents
20   given at the hearing.
21      (c)   Construction.--This section shall not be construed to
22   grant standing to residents residing within 500 feet of a public
23   venue or performing arts facility.
24   Section 408-A.     Hemp-derived cannabinoid beverage distributor's
25                  license.
26      (a)   Issuance of license and operations generally.--The board
27   shall issue to a reputable person who applies and pays the
28   license fee prescribed in this article a hemp-derived
29   cannabinoid beverage distributor's license for the place which
30   the person desires to maintain for the sale of hemp-derived

20260HB2309PN3037                    - 32 -
 1   cannabinoid beverages, not for consumption on the premises where
 2   sold, and in quantities of not less than a case or final
 3   container containing not less than 128 ounces which may be sold
 4   separately as prepared for the market by the manufacturer at the
 5   place of manufacture. A hemp-derived cannabinoid beverage
 6   distributor's license holder may sell hemp-derived cannabinoid
 7   beverages in any amount to a person not licensed by the board
 8   for off-premises consumption. The sales shall not be required to
 9   be in the package configuration designated by the manufacturer.
10      (b)   Refusal of license.--The board may refuse to issue a
11   hemp-derived cannabinoid beverage distributor's license

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